Why You Have To Choose Unit Trust???
Unit trust funds provide investors with a simple, convenient and less time-consuming method of investing in securities as compared to investing directly in the Eligible Market. Investors are able to benefit from the expertise of full-time professional fund managers without the need to worry about the type of securities to buy and the time to get in and out of the Market. Thus, through investing in unit trust funds, investors have the opportunity to spread their money over diversified portfolio of assets which otherwise may not be possible on their own. Below are why unit trust is an excellent investment vehicle and it works:
1. Professional Management
All investments are managed by full-time professional fund managers. Investment decisions are supported by extensive research, market analysis and vigilant monitoring of the economic and market environment. The fund manager has the requisite expertise, experience and quantitative tools needed for securities valuation and selection.
2. Diversification Opportunities and Minimized Risks
Investment in unit trust funds provides the opportunity to spread the investments over a diversified portfolio of assets which otherwise quite impossible for investors with limited resources. This will potentially bring returns with lower risks as compared to investing directly in the stock market or any other eligible market.
3. Affordable
The typical minimum amount to start an investment in unit trust funds in Malaysia is only RM1000. It allows the investor to hold shares in like >50 counters!
4. Liquidity
Unlike investments in fixed assets such as land and properties which take longer time to liquidate, investors of unit trust can sell all or part of their unit holdings to the manager on any business day, in accordance to the manager’s period of payment of redemption, which is usually less than 10 working days.
5. Funds for all types of people
There are many types of unit trust funds for you to choose from - different risk exposures, different expected returns, different investment objectives etc.
6. Safe and secure
The nature of the business makes unit trust a simpler business. The existence of independent trustees also ensures the assets of the fund remains safe and secure. Besides, unit trust industry in Malaysia is closely governed by the Securities Commission, Bank Negara and must comply with the Securities Commission Act 1993.
7. Convenience
Investment in unit trust funds eliminates the paperwork that comes with managing an individual’s own securities portfolio. It is very easy to purchase or sell back at the investors own discretion. Furthermore, the manager will send the unit trust fund’s interim and annual reports to keep investors informed of the performance of the fund.
8. Tax Benefits
The taxation of unit trusts is governed by Section 61 of the Income Tax Act, 1967. The income of unit trusts is assessed and charged to tax separately from the income of the unit holders. The income of a unit trust may consist of dividends, interest or profit and gain from sale of investments and returns on bonds. Gains and disposal of investments by the unit trust will be not be subjected to income tax.
9. Better Returns
It has been proven through history that the returns from Unit Trust investment are higher compared to most of other investment methods for cash, such as Fixed Deposits, Savings and Current Accounts. It is hence an excellent hedge against inflation.
Invest Now!!!
Contact me;
Anis Adilla Normuhayat
CIMB Wealth Advisor
Lo : 00024933
0177266672 / 0136285253
anisadilla@gmail.com
www.cimb-wealthadvisors.com
Unit trust funds provide investors with a simple, convenient and less time-consuming method of investing in securities as compared to investing directly in the Eligible Market. Investors are able to benefit from the expertise of full-time professional fund managers without the need to worry about the type of securities to buy and the time to get in and out of the Market. Thus, through investing in unit trust funds, investors have the opportunity to spread their money over diversified portfolio of assets which otherwise may not be possible on their own. Below are why unit trust is an excellent investment vehicle and it works:
1. Professional Management
All investments are managed by full-time professional fund managers. Investment decisions are supported by extensive research, market analysis and vigilant monitoring of the economic and market environment. The fund manager has the requisite expertise, experience and quantitative tools needed for securities valuation and selection.
2. Diversification Opportunities and Minimized Risks
Investment in unit trust funds provides the opportunity to spread the investments over a diversified portfolio of assets which otherwise quite impossible for investors with limited resources. This will potentially bring returns with lower risks as compared to investing directly in the stock market or any other eligible market.
3. Affordable
The typical minimum amount to start an investment in unit trust funds in Malaysia is only RM1000. It allows the investor to hold shares in like >50 counters!
4. Liquidity
Unlike investments in fixed assets such as land and properties which take longer time to liquidate, investors of unit trust can sell all or part of their unit holdings to the manager on any business day, in accordance to the manager’s period of payment of redemption, which is usually less than 10 working days.
5. Funds for all types of people
There are many types of unit trust funds for you to choose from - different risk exposures, different expected returns, different investment objectives etc.
6. Safe and secure
The nature of the business makes unit trust a simpler business. The existence of independent trustees also ensures the assets of the fund remains safe and secure. Besides, unit trust industry in Malaysia is closely governed by the Securities Commission, Bank Negara and must comply with the Securities Commission Act 1993.
7. Convenience
Investment in unit trust funds eliminates the paperwork that comes with managing an individual’s own securities portfolio. It is very easy to purchase or sell back at the investors own discretion. Furthermore, the manager will send the unit trust fund’s interim and annual reports to keep investors informed of the performance of the fund.
8. Tax Benefits
The taxation of unit trusts is governed by Section 61 of the Income Tax Act, 1967. The income of unit trusts is assessed and charged to tax separately from the income of the unit holders. The income of a unit trust may consist of dividends, interest or profit and gain from sale of investments and returns on bonds. Gains and disposal of investments by the unit trust will be not be subjected to income tax.
9. Better Returns
It has been proven through history that the returns from Unit Trust investment are higher compared to most of other investment methods for cash, such as Fixed Deposits, Savings and Current Accounts. It is hence an excellent hedge against inflation.
Invest Now!!!
Contact me;
Anis Adilla Normuhayat
CIMB Wealth Advisor
Lo : 00024933
0177266672 / 0136285253
anisadilla@gmail.com
www.cimb-wealthadvisors.com
0 comments:
Post a Comment